Medicare Plans’ Administrative Expense in 2025

PHILADELPHIA–(BUSINESS WIRE)–Medicare-focused plans’ per member administrative costs declined by 0.3% in 2025 versus growth of 3.6% in 2024. This was the slowest growth since 2015. Growth in costs for the cluster of Account and Membership Administration, at 0.5%, was the slowest growth for that cluster since 2021. Median PMPM costs for all products for all reporting Plans was $56.76 PMPM versus $57.21 PMPM last year. At 8.5% of premium equivalents, health plan administrative costs were lower

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